Monday, December 13, 2010

Bus travel in Punjab becomes costly, cabinet approves 10 paise per KM hike in fares

CHANDIGARH : The bus travel in Punjab has become costly by 10 paise per kilometer following Punjab cabinet which met here Monday under the Chairmanship Deputy Chief Minister Sukhbir Singh Badal approved the proposal allegedly under pressure from private transporters. An official spokesman said that bowing to market compulsions following massive increase in Diesel Price by Government of India and hefty hike in wage bill of both the Punjab Roadways and PRTC, the cabinet was forced to hike bus fare by 10 paisa per kilometer. Justifying the bus fare hike, the spokesman said that increase was announced due to heavy increases in the price of diesel by Union Government since January, 2010. The Central government has increased the price of diesel by 16% (Rs.4.83) since January,2010. In addition to this the Wage Bill of Punjab Roadways and PRTC have increased by almost 40% on account of increase in salary due to the acceptance of the recommendations of 5th Punjab Pay Commission, increase in D.A. from 27% to 45% since January, 2010, increase in the price of spare parts by 10%, increase in price of tyres / tubes by 46% and increase due to annual increment and toll revision. The price of diesel has risen 281.98% from 1998-1999 to 26-6-2010. The Wage Bill of Punjab Roadways has gone up from Rs. 136 crores to 186 crores on account of these increases in Pay of the employees. Due to these increases in operating costs, the Punjab Roadways has been suffering heavy losses. The Punjab Roadways losses during 2009-10 were Rs. 83.00 crores which are likely to rise to Rs. 92 crores. Similarly the PRTC has been incurring heavy losses and on account of these losses it has not been able to pay retrial benefits to its ex- employees which now have risen to 19 crores. In a recent judgment passed by the Punjab and Haryana High Court, the salary and vehicles of officers of PRTC have been stopped for its failure to pay retrial benefits. The spokesman added that the Bus fares in the adjoining states i.e. Haryana, Himachal and Uttrakhand are already higher than Punjab. The ordinary bus fare in Haryana, Himachal and Uttrakhand are 62.05 paise, 71.12 paise and 63 paise respectively whereas the same is 56 paise in Punjab. Even with this increase of 10 paise, the Punjab Roadways would not be able to wipe out its entire losses which is further likely to increase if any further increase in diesel price is announced by the Central Government. The major factor for increase in operating costs of Transport Sector has been the consistent and substantial increase in the prices of diesel, increase in the salary of employees on account of 5th Punjab Pay Commission on the lines of 6th Pay Commission of Government of India and D.A. increase announced by the Government of India which is followed by the State Govt. These substantial increases are beyond the control of Government of Punjab.

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